Jim Rogers: "Sterling is finished"

purch

It should be noted that the "great" Jim Rogers spoke at this time last year on the subject of currencies.

He said then that the U.S. Dollar was dead, and that he wouldn't want to hold any assets in USD.

In 2008 the DX Index rose 8%.

jon3001

purch wrote: »

It should be noted that the "great" Jim Rogers spoke at this time last year on the subject of currencies.

He said then that the U.S. Dollar was dead, and that he wouldn't want to hold any assets in USD.

In 2008 the DX Index rose 8%.

I think that's still his opinion on USD because of the large and increasing amounts of external debt. Recent rallies, he says, are a flight to the safety of T-Bills.

Rogers says he's using recent rallies to sell outs his positions. I did find that a bit odd - because he was selling out his positions over a year ago too. Maybe he's got some very illiquid holdings.

tradetime

purch wrote: »

It should be noted that the "great" Jim Rogers spoke at this time last year on the subject of currencies.

He said then that the U.S. Dollar was dead, and that he wouldn't want to hold any assets in USD.

In 2008 the DX Index rose 8%.

Ah, I got caught on that one, problem is a lot of what he says is sound bites, taken out of context, I saw a "Jim Rogers says" pertaining to everybody should sell the USD, at the time the dollar was trading at around $2 = £1 which seemed a comically bad call since it proceeded to strengthen significantly from there. So I went back through archive of his interviews and found the original call, about 6 months previous - - Was to sell the USD, but he said he expected a rally in the dollar, and people should use that rally to sell their dollars, that rally began last year and is still currently under way. So in fairness when taken all in context he was right. It is worth noting that Rogers is not a market timer, even by his own admission, he told an interviewer on Bloomberg, if they got 100 people in to time the market, he'd be the worst. It is worth also noting that his comment on Sterling is not new either, I heard him make the case for the end of Sterling over a year ago, all his commentary is geared towards the long term, even in that sound bite, he refers to oil underpinning the pound and that in 10 years that will be gone, so already you have some indication of the timespans he works on, his commentary is not really suitable for most home investors since they tend to be impatient.

6022tivo

I am so scared..

I have worked damm hard over the years and saved like mad...

All my pounds are looking shakey..

Tummy is turning..

purch

a lot of what he says is sound bites, taken out of context

Twas actually the point I was trying to make.

Buffett, Soros, Rogers and their like, usually are taken out of context, whenever they speak or are interviewed.

Most people appear to be thinking in terms of GBP against the USD or EUR, or USD against the EUR etc etc.

In reality Rogers is not looking at it in those terms, he is looking at these currencies against other hard asset classes, not other currencies.

tradetime

In reality Rogers is not looking at it in those terms, he is looking at these currencies against other hard asset classes, not other currencies.

Sorry dude, wasn't paying attention that's quite true, I recall him being asked what currency people should be moving their money into, and he didn't have a lot of regard for any of them, short term I think if I recall correctly he favoured the Yen, but saw that as a short term better than the Dollar solution. At the end of the day he's a hard core commodities investor, so he will always favour those over paper.

sabretoothtigger

Whats he think about gold then, thats a currency and a commodity

ScarletBea

It's stupid comments like this that cause serious harm!

tradetime

sabretoothtigger wrote: »

Whats he think about gold then, thats a currency and a commodity

Rogers has always been a fan of gold, like any other commodity, unlike goldbugs however he favours agricultural commodities over gold

tradetime

ScarletBea wrote: »

It's stupid comments like this that cause serious harm!

Well that would be one opinion, I'd be more inclined to think it was stupid people in government that cause most of the harm.